US President Trump imposes 10 percent tariff on all countries

US President Donald Trump has announced that he has decided to impose a 10 percent tariff on products imported from all countries in order to protect the US economy. The decision was announced to the public through a post Trump made on his social media platform, Truth Social. In his post, Trump stated: "I am honored to have just signed a 10 percent global tariff on all countries." The President also noted that the measure taken would go into effect very shortly.

A statement from the White House indicated that Trump decided to impose a temporary import tariff based on Section 122 of the Trade Act of 1974. This section grants the president the authority to resolve certain issues in international payments through additional taxes or various import restrictions. Accordingly, a 10 percent customs duty will be applied to imported products for a period of 150 days, and this application will take effect as of February 24.

Exemptions are also in place; critical minerals, energy and certain agricultural products, pharmaceuticals, specific electronics and automotive parts, aerospace equipment, and information materials will not be affected by this temporary tax. Additionally, some products covered under the United States-Mexico-Canada Agreement (USMCA) signed with Canada and Mexico, as well as certain textile goods coming from specific Central American countries, have been excluded from the tariff.

The US administration announced that, within the framework of the decisions, it has also instructed the Office of the United States Trade Representative to investigate unfair and discriminatory trade practices against the country in accordance with Section 301.

Yesterday, the US Supreme Court ruled that the International Emergency Economic Powers Act (IEEPA), which formed the basis for Trump's previous import tariffs, did not grant the president the authority to impose tariffs directly. Following this, Trump stated at a press conference, "Foreign countries that have been ripping us off for years are very happy, they are dancing in the streets. But you can be sure they won't be dancing for long." The President also emphasized that he had solidified the legal basis for his new decision with Section 122 of the Trade Act of 1974.

Trump also stated that they would launch various investigations using Section 301 and other authorities to prevent unfair trade. While the mentioned new tariff application could create global effects in world trade, it shows that the Trump administration continues to pursue a stricter stance in its trade policies.

News Source: 12punto